Consumer sentiment in the U.S. unexpectedly improved to its best level in thirteen years in the month of January, according to a report released by the University of Michigan on Friday.
The University of Michigan said its consumer sentiment index for January was upwardly revised to 98.5 from the preliminary reading of 98.1. Economists had expected the index to be unrevised.
With the unexpected upward revision, the index topped the 98.2 reported for December to reach its highest level since jumping to 103.8 in January of 2004.
"Consumers expressed a higher level of confidence January than any other time in the last dozen years," said Richard Curtin, the survey's chief economist.
He added, "The post-election surge in confidence was driven by a more optimistic outlook for the economy and job growth during the year ahead as well as more favorable economic prospects over the next five years."
The report said the index of consumer expectations crept up 90.3 in January from 89.5 in December, although the current economic conditions index edged down to 111.3 from 111.9.
On the inflation front, one-year inflation expectations jumped to 2.6 percent in January from 2.2 percent in December, while five-year inflation expectations surged up to 2.6 percent from 2.3 percent.
by RTT Staff Writer
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